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The 6th Annual 1to1 Impact Award Winners
1to1 Magazine January/February 2007 by John Gaffney
What Does It Take to Win?
Whether
it's transforming an entire organization or implementing a new sales
technology, the 2007 1to1 Impact Award Winners inspire ideas for
building or breathing new life into any customer-focused organization.
Read on for insight into initiatives and processes that may help you
create your own winning strategy.
Ring Bros. Marketplace -- Tech Optimization: Marketing Mobile Technology Captures Customers on the Move
It's
a New England stereotype as old as the Puritans. People north of New
York are cold. Parochial. Set in their ways. "Can't get theyah from
heyah," goes the old saying.
But for all the iconic New
England penchant for simplicity, Ring Bros. Marketplace, a one-store
gourmet food market in Cape Cod, has broken the mold. They got "heyah
from theyah" in a customer-centric sense by reaching beyond the
regional myth of being old-fashioned. Ring Bros. earned this year's
Impact Award for technology optimization in the marketing category by
using a high-tech loyalty marketing solution to reach an audience that
might have been stereotyped as luddites.
"I was shocked," says
Ring Bros. co-owner Rich Pimentel. "I did take into consideration the
reputation of our clientele as being a little old-fashioned. But this
worked big time. Maybe our customers are a little younger, a bit better
educated. This connected."
The connection was formed in April
2006 via mobile marketing. Many grocery stores struggle with moving
loyalty initiatives beyond the point of sophisticated discounting
schemes. But Ring Bros. uses mobile marketing to build loyalty by
connecting with its local customers, as well as the weekenders and
vacationers who live part-time on the Cape, which is largely a
summer-autumn destination.
The upscale grocery store wanted to
offer its customers a loyalty program that would both reward their
patronage and enable Ring Bros. to communicate with customers in real
time, with measurable impact. Facing the out-of-reach cost of
advertising in major metropolitan newspapers, the ineffectiveness of
traditional circulars, and limited budgets, it selected a solution from
MobileLime to offer a customized mobile rewards program via cell phone
to directly influence buying behaviors before and at the point of sale.
Customers can opt in to receive weekly emails, text messages,
event-oriented alerts, specials, and savings on hundreds of items.
Customers' cell phone numbers are their member numbers. Ring Bros.
split its customer groups into residencies (e.g., local, Boston area,
and New York), and sends mobile messages to each with different offers
and event notifications based on such information as whether a customer
is traveling to the Cape or is already there.
In four months
1,800 customers signed up; that number has grown at a steady 5 percent
per week. Since April mobile marketing campaigns have spiked daily
transactions by an average of 75 percent. Average spending per
transaction among Ring Bros. non-loyalty customers is $20. That number
doubles to $40 among Mobile Rewards Members. Although accounting for
only 6 percent of all transactions, loyalty transactions account for 10
percent of sales revenue. "Customers like being a part of this
program," says Michelle Deziel, MobileLime's senior vice president,
marketing and operations. "From the retailer point of view it makes a
loyalty program a one-to-one marketing vehicle." |
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485
Route 134, South Dennis, MA 02660
Phone: 508-394-2244
Fax:
508-394-0121
Copyright
©
Ring Bros Marketplace. All rights
reserved.
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